In September 2014, a client of Mark Horwitz received an 89 page government complaint which sought to prohibit this client from working in the tax preparation business. The government was also seeking over $11 million in disgorgement which was the client's business' gross receipts.
The non-jury trial began on March 8, 2016, during which three attorneys from the Department of Justice Civil Tax Division represented the government. Shortly before the trial, the client agreed to a permanent injunction and went to trial on the sole issue of whether the government was entitled to $11 million. After researching our client's tax documents and other business records, we presented our evidence through cross examination of the government's witnesses during the trial.
Our defense strategy involved discrediting the government's evidence, including their statistical analysis and sampling techniques, which is how the government concluded that our client owed disgorgement of $11 million. At the end of the case, both sides were required to submit legal memorandums to the judge in lieu of a closing argument.
Ultimately, the judge ruled in favor of our client on the disgorgement. The court concluded in its written opinion, on April 13, 2016, that the government had not met its burden of providing the court with sufficient information to reasonably approximate the amount of unjust enrichment. The Court ruled that the government was entitled to receive no disgorgement and therefore ordered that the government takes $0.00 rather than the $11,000,000 it sought at trial.
We are dedicated to our research, trial preparation, trial strategy and trial technique, to give our clients the upper hand in the courtroom. We were honored to help this client avoid the $11,000,000 judgment sought by the Department of Justice.
If you are facing accusations by the federal government and want experienced representation that is committed to your case, the Law Offices of Mark L. Horwitz is here to help you.
All cases are different and prior successes do not guarantee future outcomes.